Islamabad —Senator Umer Farooq chaired the inaugural meeting of the Senate Standing Committee on Petroleum held at Parliament House. The meeting was attended by Senator Rana Mehmood ul Hassan,Senator Sardar Muhammad Umer Gorgaij, Senator Mir Dostain Khan Domki,Senator Raja Nasir Abbas,Senator Haji Hidayatullah Khan,Senator Mohammad Abdul Qadir,Secretary Petroleum Division Momin Agha, and other senior officials from relevant departments.The Senate Committee was briefed on the role and function of the ministry and its attached departments. The Secretary of the Petroleum Division apprised the Committee that thirteen companies fall under the ministry’s ambit. The primary role of the ministry is to facilitate collaboration between these companies to meet the country’s oil and gas demand. The ministry also oversees the affairs of these companies and formulates policies for their smooth functioning. The Committee raised objections over the absence of the vacant post of MD OGDCL for the past few months and directed to provide committee the details on vacant MD and BoD positions in these companies.Additionally, the Committee was informed about the current usage and demand for oil and gas in the country. The DG Gas reported that the country’s daily consumption of gas and oil is around 3,200 MM CFT and 7,000 million barrels, respectively. However, the total reserves of oil are approximately 192.93 million barrels, and gas reserves are about 18,108.77 BCF. Sindh holds the highest share of gas at 64%, and Khyber Pakhtunkhwa has a 42% share in oil, according to the 2023-24 data (May 2024). Secretary Petroleum Division, Momin Agha, highlighted that out of the total 3,200 MM CFT of gas, 200 MM CFT is used for production, 1,400 MM CFT is utilized by fertilizer and power companies, and the remaining 1,600 MM CFT is allocated for domestic purposes. Thus, the total available gas is 3,000 MM CFT. The Committee recommended that complete details of gas consumption by provinces relative to their production be submitted at the next meeting.Moreover, the Committee discussed development initiatives undertaken by gas companies to uplift less developed areas adjacent to gas sites. Officials informed that the ministry has mandated oil and gas companies to spend a minimum of $30,000 on social welfare projects, primarily for clean water, education, and healthcare. The amount allocated for social welfare is directly related to oil and gas reserves. Senator Umer Farooq directed that details of social work done by oil and gas companies in different parts of the country over the last three years under Corporate Social Responsibility.Furthermore, the Senate Committee deliberated on the bill titled “The Pakistan Minerals Regulatory Authority Bill, 2024”. Senator Mohammad Abdul Qadir, the bill’s mover, stated that while the country has vast mineral reserves, it has not benefitted due to a lack of coordination between the Federal and Provincial Governments. He added that the primary objective of the bill is to create cohesion between the center and provinces on this issue so that the potential of the minerals sector can be fully utilized and transformed into a value-added commodity for the national economy. Secretary Petroleum apprised the Committee that the ministry is working on the “Harmonization of Minerals Laws” with the provinces, and the implementation plan will be finalized by the end of September 2024.Additionally, the Committee was briefed by the MDs of Sui Southern Gas (SSGPL) and Sui Northern Gas (SNGPL) on their operations and performance. The MD of SSGPL reported that the primary role of SSGPL is the transmission, distribution, and sale of natural gas, and currently, SSGPL serves approximately 3.2 million customers. He added that SSGPL sources its supply from 11 sites on the left bank of the Indus and 8 sites on the right bank. However, indigenous gas reserves are depleting by 10% annually. Moreover, the MD of SNGPL informed the Committee that SNGPL serves 7.4 million customers and earned a profit of around 10.37 billion in 2022 after tax.The Committee decided to have an exclusive briefing on Reko Diq at the next meeting.